Seriously, has anyone in the industry tried to get a "just a phone" that isn't an inch thick and downright obnoxious to use? Last time I did, the Verizon clerk had to dig thru the back storeroom to find a 3-year-old "candybar" phone (which tried setting itself on fire a few months later) of tolerable size & minimalism. Closest thing out there is is "John's Phone", which still screws up by insisting on doubling the size for storage space for a paper (!) pad and pencil (!).
Please, Apple, an iPhone Nano. You're my only hope.
And would you really want the whole train car to know the email you're writing?
But we'll see, naysayers like me have been wrong before. I wrote some predictions of my own about the subject: http://bergie.iki.fi/blog/tablet-productivity/
In the past I had the same sentiment about phone calls, but what people are willing to talk about on cell phones in public proves me wrong time and again. It certainly isn't ideal but people would probably do it if it meant their cell phone was the size of an ipod nano(I certainly don't see it being the main iPhone but the iPhone nano) or built in to their Google glasses.
(Probably a thousand other people have had this idea, too. So the chording addition probably has been tried -- and don't work well.)
I'd love a smaller iPhone.
On the subject of a mini iPad without a retina display -- why do people care? The mini is probably a boring product to fill a market niche and make it harder for the competition. The (third/)new iPad's good display is so readable that even I can read books. A 7" screen will have problems showing a full size pdf, even if it was retina. There are other use cases like gaming, but... Meh.
I was thinking about getting him a 7" Android tablet but he has so many apps and movies that he loves from the Apple store, he probably wouldn't be interested. We even tried a dedicated "kids" tablet in a shop, after 2 minutes he got so frustrated he threw it down and toddled off to look at the other toys.
I think I've raised an Apple fan boy.